Tri-White Corporation
announces operating results for the year ended December
31, 2005
TSX: TWH
TORONTO, March 23 /CNW/ - Tri-White Corporation ("Tri-White" or the
"Company") announced operating results for the year ended December 31, 2004.
For the year then ended, revenue increased by 11% to $41,679,000 and EBITDA
(defined as revenue less cost of sales and operating expenses) increased by
24% to $19,002,000. Net earnings increased from $5,415,000 (24 cents per
share) in 2003 to $10,176,000 (44 cents per share) in 2004.
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Financial Highlights
2004 2003
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Revenue $41,679,000 $37,573,000
EBITDA $19,002,000 $15,287,000
Earnings per share $0.44 $0.24
Cash Dividends $5,300,000 $5,423,000
Shares Outstanding 22,870,000 22,898,000
2004 Operating Highlights
Revenue originates from the port operations and tour excursions at the
Company's wholly-owned subsidiary, White Pass. Based in Alaska, White Pass
gained momentum as a result of the stability of the North American cruise
market, with larger and more advanced ships being placed into service, and
through aggressive marketing strategies. For White Pass, these factors
produced record levels of activity in 2004 with more than 400,000 passengers
enjoying the rail excursion.
Net earnings are also driven by the Company's investments in ClubLink and
Clearlink, which are accounted for on an equity basis. ClubLink expanded its
golf operations with two significant course additions at Glencairn and
National Pines. This drove membership to record levels with 11,889 persons
supporting the ClubLink system and led to a 10% increase in operating revenue.
On an equity basis, Tri-White recorded a loss of $621,000 for the year and the
Company received dividends of $750,000.
With respect to its 34.5% interest in Clearlink, Tri-White reported
equity income of $1,683,000 for the year, recognizing the first full year of
ownership of this investment. The Company also received dividends of $930,000
from Clearlink.
Dividend
The Company had previously announced that a dividend of 6 cents per share
was declared and payable on March 31, 2005 to shareholders of record as at
March 10, 2005.
Normal Course Issuer Bid
On September 6, 2004 Tri-White announced a normal course issuer bid,
expiring on September 5, 2005, which enables the Company to purchase up to
1,143,587 common shares for cancellation. During 2004, the company acquired
and cancelled 65,300 shares.
Financial Statements
Tri-White Corporation's Consolidated Balance Sheets, Consolidated
Statements of Earnings and Retained Earnings and Consolidated Statements of
Cash Flow can be found under the Company name at www.sedar.com.
Tri-White, through its merchant banking focus and corporate management
has a proven record of identifying and delivering value and the Company also
capitalizes on short term trading opportunities as they are identified in the
market. In the near term, there is the expectation of producing real cash
returns while building the underlying value of the investments.
TRI-WHITE CORPORATION
CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2004
TRI-WHITE CORPORATION
CONSOLIDATED BALANCE SHEETS
As at December 31,
2004 2003
(Restated)
(in thousands of dollars) $ $
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ASSETS
Current
Cash and cash equivalents 4,908 379
Accounts receivable 1,516 204
Loan receivable 7,000 -
Income and other taxes recoverable 286 666
Material and supplies 3,635 4,579
Prepaid expenses and other assets 407 1,438
Portfolio investments 2,310 4,590
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20,062 11,856
Long-term investments 48,829 49,455
Capital assets 71,583 75,781
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Total assets 140,474 137,092
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LIABILITIES
Current
Bank indebtedness 7,265 9,142
Promissory note 6,000 -
Accounts payable and accrued liabilities 1,498 1,461
Current provision for asset retirement obligations 207 242
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14,970 10,845
Long term promissory note 11,935 11,935
Future income tax liabilities 17,391 17,178
Provision for asset retirement obligations 317 212
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Total liabilities 44,613 40,170
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SHAREHOLDERS' EQUITY
Share capital 60,931 60,921
Cumulative translation adjustment (11,084) (5,537)
Contributed surplus 68 0
Retained earnings 45,946 41,538
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Total shareholders' equity 95,861 96,922
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Total liabilities and shareholders' equity 140,474 137,092
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TRI-WHITE CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS AND RETAINED EARNINGS
For the year ended December 31,
2004 2003
(in thousands of dollars, except for (Restated)
per share amounts) $ $
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REVENUE 41,679 37,573
Cost of sales and operating expenses 22,677 22,286
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Earnings from operations before the undernoted 19,002 15,287
Amortization 3,294 3,225
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Earnings before other income (expense)
and income taxes 15,708 12,062
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OTHER INCOME (EXPENSE)
Investment income 1,299 542
Interest expense (1,447) (593)
Net gain (loss) on sale of investments 161 (613)
Unrealized foreign exchange gain 642 -
Income (loss) on equity accounted investments 1,062 (34)
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1,717 (698)
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Earnings before income taxes 17,425 11,364
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Provision for income taxes
Current 5,921 3,642
Future 1,328 2,307
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7,249 5,949
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Net earnings for the year 10,176 5,415
Retained earnings, beginning of year as
previously stated 42,648 42,662
Adjustments due to retroactive changes in
accounting policies of equity accounted investments (1,110) (783)
Dividends paid (5,486) (5,500)
Excess of purchase price of common shares
over average carrying value (282) (256)
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Retained earnings, end of year 45,946 41,538
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Net income per share
Basic 0.44 0.24
Diluted 0.44 0.24
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TRI-WHITE CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOW
For the year ended December 31,
2004 2003
(in thousands of dollars, except for (Restated)
per share amounts) $ $
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OPERATING ACTIVITIES
Net income for the year 10,176 5,415
Items not affecting cash
Amortization 3,294 3,225
Future income taxes 1,328 2,307
Net (gain) on sale of assets and investments (161) 613
Income (loss) of equity accounted investments (1,062) 34
Unrealized foreign exchange gain (642) -
Stock compensation expense 68 -
Asset retirement obligation expenditures 70 (94)
Distributions from equity accounted investments 1,688 643
Net change in operating assets and liabilities 1,080 (4,338)
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Cash provided by operating activities 15,839 7,805
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FINANCING ACTIVITIES
Promissory note 6,000 -
Shares purchased for cancellation (458) (496)
Dividends (5,300) (5,423)
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Cash provided by (used in) financing activities 242 (5,919)
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INVESTING ACTIVITIES
Proceeds on sale of assets and investments 2,643 8,763
Purchase of capital assets (4,778) (5,427)
Purchase of investments (202) (14,708)
Advances of loan receivable (7,000) -
Net (repayment) proceeds of bank indebtedness
and loans (1,877) 9,142
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Cash (used in) investing activities (11,214) (2,230)
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Net effect of currency translation
adjustment on cash balances and cash flows (338) 3,253
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Net increase in cash and cash equivalents
during the year 4,529 2,909
Cash and cash equivalents (deficiency), beginning
of year 379 (2,530)
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Cash and cash equivalents, end of year 4,908 379
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Contact:
Tri-White Corporation
Mr. Donald Turple,
Chief Financial Officer
Phone: (416) 367-6877
Fax: (416) 367-6890
One University Avenue, Suite 1400 |
